MGT101 Quiz 3 by Orange Monkey

Expired portion of direct cost is a part of _____.

EXCEPT;

Service fee received is a ______.

Revenue Expenditure

Cotton thread to make the fabric in manufacturing concern is

Raw material

Control accounts are maintained for all of the following EXCEPT

All options

Which of the following is an error of principle?

A receipt of Rs. 50,000 from a debtor is recorded as Rs 5,000 in his account

A payables ledger control account had a closing balance of Rs. 9,000. A discount received of Rs. 500 had been omitted to record in this control account. What should be the correct balance of payables control account?

Rs. 8,500 credit

Cost

Not realizable value of inventory =

Selling price – further costs to sell

Which of the following should be debited for issue of raw material to production department in manufacturing concern?

Finished goods account

Under periodic system of recording inventory purchase of inventory is recognized as ________

Stock

Purchase of building costing Rs 500,000 is recorded in repairs account. What will be its effect on net profit?

No effect

Which of the following should be debited on sale of completed goods on cash basis in manufacturing concern?

Cash account

If some financial information is completely forgotten to record in the books of original entry. Such error is known as

Error of omission

Which of the following should be credit on sale of completed goods on credit basis in manufacturing concern?

Sales Account

Cost of inventory =?

Selling – Further costs to sell

Shipping supplies consumed is considered as?

Selling expense

Expense.

Discount received from a creditor is credited under main head:

Income

Accumulated depreciation of furniture is a/an